ARMY BOARD FOR CORRECTION OF MILITARY RECORDS

RECORD OF PROCEEDINGS


	IN THE CASE OF:  

	BOARD DATE:  11 September 2019

	DOCKET NUMBER:  AR20170006697


APPLICANT REQUESTS:  termination of Survivor’s Benefit Plan (SBP)

APPLICANT'S SUPPORTING DOCUMENTS CONSIDERED BY THE BOARD: 
DD Form 149 (Application for Correction of Military Record)

FACTS:

1.  The applicant did not file within the three year time frame provided in Title 10, United 
States Code (USC), section 1552 (b); however, the Army Board for Correction of 
Military Records conducted a substantive review of this case and determined it is in the 
interest of justice to excuse the applicant's failure to timely file. 

2.  The applicant states he did not elect Retired Serviceman's Family Protection Plan 
(RSFPP) SBP, but was advised by Defense Finance and Accounting Service (DFAS) 
that he was automatically enrolled and he could not be released from it.  The plan is a 
drain on his family and if he should pass, it would be relatively no benefit to his family 
because of the small amount it would provide.  When the first payment was requested, 
he contacted customer care and was advised that he would have to pay into the 
program for 2 years before he could have it terminated.  After the 2 year period, he 
requested for the termination, but then was told that he would not be allowed to 
terminate the plan.  He is requesting that the plan be terminated.

3.  A review of the applicant’s service record shows:

	a.  He enlisted into the Idaho Army National Guard (IDARNG) of the United States 
on 2 December 2009.

	b.  He entered active duty for training (ADT) on 1 March 2010 to attend Basic 
Combat Training and Advanced Individual Training.

	c.  He was released from ADT on 28 September 2010 with an honorable 
characterization of service under the provisions of Army Regulation (AR) 635-200 
(Active Duty Enlisted Administrative Separations), chapter 4 (Completion of Required 
Active Service).  His DD Form 214 (Certificate of Release or Discharge) shows that he 
completed 6 months and 28 days of active service.

	d.  IDARNG Order Number 044-022 dated 13 February 2015, promoted the 
applicant to the rank of sergeant (SGT)/E-5 in accordance with AR 600-8-19 (Enlisted 
Promotions and Reductions), paragraph 1-20e (Promotion of critically ill Soldiers) 
effective 9 March 2015.

	e.  IDARNG Order Number 044-023 dated 13 February 2015, discharged the 
applicant from the IDARNG on 9 March 2015 with honorable characterization of service 
under the provisions of National Guard Regulation (NGR) 600-200 (Enlisted Personnel 
Management), paragraph 6-36s (Placement on the Permanent Disability Retired List).  

	f.  United States Army Physical Disability Agency (USAPDA) Order Number 
D 034-53 dated 3 February 2015, placed the applicant on the retired list effective 
10 March 2015 in the rank of SGT/E-5 with 100 percent disability.

4.  USAPDA memorandum dated 3 February 2015, subject: Permanent Physical 
Disability Retirement, advised the applicant that it was found that he had a disability and 
would be placed on the permanent retired list with a disability rating of 100 percent.  It 
instructed the applicant to submit the DD Form 2656 (Data for Payment of Retired 
Personnel) to activate his retirement pay.  DD Form 2656, part III (Survivor Benefit 
Plan), section X (Survivor Benefit Plan (SBP) Election states, that if an election is not 
made, maximum coverage will be established for your spouse and/or eligible dependent 
children.  You may discontinue SBP participation within 1 year after the second 
anniversary of the commencement of retired pay.  Termination of SBP is effective the 
first month after DFAS receives the SBP disenrollment request.  There will be no refund 
of SBP costs paid for the period before the SBP disenrollment.

5.  Information obtained from Defense Finance and Accounting Service Retirement and 
Annuity Branch shows there was not a DD Form 2656 on file nor did the applicant 
submit the SBP election form and was in auto coverage effective 10 March 2015 (date 
of retirement).  However they did received the DD form 2656-8 (Survivor Benefit Plan 
(SBP) Automatic Coverage Fact Sheet) and DFAS-CL Form 1077 (Survivor Benefit 
Plan (SBP) Withdrawal Consent) completed by the applicant dated 4 June 2018.

6.  By law, a person who is eligible to participate in the Plan under paragraph (1) (A) 
and who is married or has a dependent child when he becomes entitled to retired pay, 
unless he/she elects (with his/her spouse’s concurrence, if required under paragraph 
(3)) not to participate in the Plan before the first day for which he/she is eligible for that 
pay. 


BOARD DISCUSSION:

After reviewing the application and all supporting documents, the Board determined 
relief was warranted.  The applicant’s contentions were carefully considered.  Evidence 
of record shows he was medically discharged.  The Board agreed he was automatically 
enrolled in the SBP without receiving the proper counseling as those who retire upon 
completion of their service.  As a result, the Board determined his SBP should be 
terminated, and that he should be reimbursed all payments.

BOARD VOTE:

Mbr 1	Mbr 2	Mbr 3

X	X	X	GRANT FULL RELIEF

:	:	:	GRANT PARTIAL RELIEF

:	:	:	GRANT FORMAL HEARING

:	:	:	DENY APPLICATION


BOARD DETERMINATION/RECOMMENDATION:

The Board determined that the evidence presented was sufficient to warrant a 
recommendation for relief.  As a result, the Board recommends that all Department of 
the Army records of the individual concerned be corrected by showing he properly 
declined the Survivor Benefit Plan (SBP) on 9 March 2015, with proper spousal 
concurrence, and his election was received and processed in a timely manner by the 
appropriate DFAS office.  Such relief should result in the repayment of any previously 
paid SBP premiums.  
	  
I certify that herein is recorded the true and complete record of the proceedings of the 
Army Board for Correction of Military Records in this case.



REFERENCES:

1.  Title 10, USC, section 1552(b), provides that applications for correction of military 
records must be filed within three years after discovery of the alleged error or injustice.  
This provision of law also allows the Army Board for Correction of Military Records 
(ABCMR) to excuse an applicant's failure to timely file within the three-year statute of 
limitations if the ABCMR determines it would be in the interest of justice to do so.

2.  Title 10, USC, section 1448, establishes the Survivor Benefit Plan (SBP).  As in 
effect at the time, it essentially states, in pertinent part, that eligible participants include 
persons entitled to retired pay and persons who would be eligible for reserve-
component retired pay but for the fact that they are under 60 years of age and have 
elected to provide coverage within 90 days of receipt of their twenty-year letter.  A 
person who is eligible to participate in the Plan under paragraph (1) (A) and who is 
married or has a dependent child when he/she becomes entitled to retired pay, unless 
he/she elects (with his/her spouse’s concurrence, if required under paragraph (3)) not to 
participate in the Plan before the first day for which he is eligible for that pay.

3.  Public Law 95-397, enacted 30 September 1978, provided a way for Reserve 
Component members who qualified for Reserve retirement, but were not yet age 60 and 
eligible to participate in the Survivor Benefit Plan (SBP), to provide an annuity for their 
survivors should they die before reaching age 60.  Three options were available:  

*	Option A – elect to decline enrollment and choose at age 60 whether to start SBP 
participation
*	Option B – elect that a beneficiary receive an annuity if they die before age 60, 
but delay payment of it until the date of the member's 60th birthday
*	Option C – elect that a beneficiary receive an annuity immediately upon their 
death if before age 60

Once a member elects either option B or option C in any category of coverage, that 
election is irrevocable.  Option B and C participants do not make a new SBP election at 
age 60.  They cannot cancel SBP participation or change options they had in RCSBP - 
the options automatically roll into SBP coverage.  If RCSBP Option B or C is elected, 
there is a Reservist Portion cost added to the basic cost of the SBP to cover the 
additional benefit and assured protection should the member have died prior to age 60.

//NOTHING FOLLOWS//


ABCMR Record of Proceedings (cont)	 AR20170006697


3


1